North Carolina Down Payment Support Programs

Payments Gateway - These systems are the Mortgage Credit Certificate and also the deposit Assistance System.

If you meet the requirements for one of the programs and you buy a property between December 1, 2009 and January 1, 2009, you could also be eligible for the $8,000 tax credit only enacted into law.

First, who is a First Time Home Buyer? A First Time Home Buyer is someone who has not owned a house in the prior three years. That is the exact same qualifying definition.

What is a Mortgage Credit Certificate and Who Qualifies?

A Mortgage Credit Certificate (MCC) is a federal tax credit to assist home buyers with low and average incomes. All home owners can claim an itemized deduction for mortgage interest.

You can claim 20% of the interest you pay as a credit in your federal income taxes if you are eligible for the MCC. It's possible for you to save up to .

You may find a way to join this with the $8,000 tax credit if you do qualify for 2009. This may reduce the tax liability of a buyer's by $10,000.

Who qualifies for an MCC is based on the purchase price of the home as well as your income you're purchasing. Household income is defined as the “gross income of the mortgagor and any other person expected to reside in the residence who's 18 years old or older.”

The income and house price limits that apply in Durham Orange and Chatham Counties are given below.

MCC Income Limits 1 Man $61,500 2 Individuals $61,500 3 Persons $70,500 4 Persons $70,500

MCC Sales Cost Limitations New Home $220,000 Existing Dwelling $210,000

The buyer just has to pay and the load would pay around .

This program has more rigorous income limitations than the MCC plan outlined above. Like the MCC application, it can be used in conjunction with all the new $8,000 tax credit on home purchases between December 1, 2009 and January 1, 2009. The down payment help, nevertheless, can not be used together with all the MCC. That is an either or situation.

The income and house price limitations that apply in Orange, Durham and Chatham Counties are listed below.

Down Payment Assistance Income Limits

1 Man $39,950 2 Men $45,650 3 Persons $51,350 4 Persons $57,050

Down Payment Support Sales Cost Limits New House $210,000 Existing Dwelling $210,000